ExxonMobil’s PNG find boosts LNG project resources

US energy giant ExxonMobil hit gas at the onshore P’nyang South-2 well, located in the Western Province of Papua New Guinea increasing reserves for the PNG LNG project.

“We are currently evaluating the well results and together with our co-venture partners will assess the P’nyang field resource potential and development pathway,” said Liam Mallon, president of ExxonMobil Development Company, adding that the work will be done with the PNG government.

The well was safely drilled to 8,940 feet (2,725 meters), reaching high-quality, hydrocarbon-bearing reservoirs in the Toro and Digimu sandstones, consistent with pre-drilling expectations, confirming the southeast extension of the field.

“When combined with our acquisition of InterOil Corporation, the increase in assessed reserves at Hides in the existing PNG LNG project and our recent Muruk discovery, this adds to our rapidly growing inventory of low cost of supply natural gas in Papua New Guinea,” Mallon said.

The well is located in petroleum retention license 3, which covers 105,000 acres (425 square kilometers).